Intel Gains Beijing Approval for Chip Plant

Intel is treading lightly in its plans to build a semiconductor chip factory in China, which would be its first in a developing country, Forbes reported.

Forbes cited Western media reports on Tuesday that the U.S. semiconductor giant had received approval to build a $2.5 billion chip fab in the northeastern city of Dalian, based on a statement on a Chinese government Web site that was soon taken down.

The manufacturing facility would reportedly make chips with circuitry measuring 90 nanometers.

Intel’s chances for approval are helped by the fact that 90 nanometers is no longer the state of the art. Intel is producing chips with a 65-nanometer architecture and is on track to commercialize 45-nanometer chips.